Conor:
Winseer:
UC get your takehome pay from HMRC verified by your employer(s). Night Out money - will be included towards any 63p/£ deductions once you go beyond your personal earnings threshold calculated on your household status.Why do you continue to post nothing but absolute unadulterated ■■■■■■■■? How does one manage to be so wrong about so many things? UC is based on net income, not gross income. Deductible expenses under Chapter 2, Part 5 of ITEPA 2003 are disregarded in calculating employed earnings - UC Regs, reg 55(3)(a). This ensures any allowable expenses reimbursed by an employer are not taken into account as income. Night out money which is within the tax free allowance set by HMRC comes under that and is not regarded as income. It is a reimbursement for expenses therefore it is disregarded as income for benefits purposes, whether that be tax credits, universal credit, housing allowance, council tax credit whatever. Also if you pay money into a pension 100% of any money paid into a pension is disregarded as income for universal credit too. So if you earned £30,000 a year and put the whole £30,000 into a pension then as far as universal credit is concerned your income is £0.
Here you go…UK Statutory Instrument 2013 No 376 The Universal Credit Regulations 2013
legislation.gov.uk/uksi/2013 … on/55/made
Employed earnings
(2) Employed earnings comprise any amounts that are general earnings, as defined in section 7(3) of ITEPA, but excluding—
(a)amounts that are treated as earnings under Chapters 2 to 11 of Part 3 of ITEPA (the benefits code); and
(b)amounts that are exempt from income tax under Part 4 of ITEPA.
(3) In the calculation of employed earnings the following are to be disregarded—
(a)expenses that are allowed to be deducted under Chapter 2 of Part 5 of ITEPA; and
And to prove my point about pension contributions and it being based on net pay, not gross pay…
(5) In calculating the amount of a person’s employed earnings in respect of an assessment period, there are to be deducted from the amount of general earnings or benefits specified in paragraphs (2) to (4)—
(a)any relievable pension contributions made by the person in that period;
(b)any amounts paid by the person in that period in respect of the employment by way of income tax or primary Class 1 contributions under section 6(1) of the Contributions and Benefits Act; and
(c)any sums withheld as donations to an approved scheme under Part 12 of ITEPA (payroll giving) by a person required to make deductions or repayments of income tax under the PAYE Regulations.
Thanks for that, the night out money does go into my bank account but separately to my wage, but I take it this is fine as long as its expenses?